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A daycare contract is typically signed when parents hire daycare services for their children. Daycares serve as businesses that provide care while parents are at work or otherwise occupied. Different types of daycare options include 24-hour facilities for overnight stays, center-based locations where children are dropped off, gym-based services for working out, and home-based daycares in residential settings. Daycare services range from infant and toddler care to full-service offerings, which often come at a higher cost. Each daycare must be licensed and comply with state regulations regarding building codes, safety, and staff-to-child ratios, ensuring they are listed in the state's daycare registry.